key factors influencing thai travelers to choose a...

Ref. code: 25595802040088DOJRef. code: 25595802040088DOJ

KEY FACTORS INFLUENCING THAI TRAVELERS

TO CHOOSE A HOMESTAY ACCOMMODATION

IN THAILAND

BY

MISS NOPPANAT SEKORARITH

AN INDEPENDENT STUDY SUBMITTED IN PARTIAL

FULFILLMENT OF

THE REQUIREMENTS FOR THE DEGREE OF

MASTER OF SCIENCE PROGRAM IN MARKETING

(INTERNATIONAL PROGRAM)

FACULTY OF COMMERCE AND ACCOUNTANCY

THAMMASAT UNIVERSITY

ACADEMIC YEAR 2016

COPYRIGHT OF THAMMASAT UNIVERSITY


KEY FACTORS INFLUENCING THAI TRAVELERS

TO CHOOSE A HOMESTAY ACCOMMODATION

IN THAILAND

BY

MISS NOPPANAT SEKORARITH

AN INDEPENDENT STUDY SUBMITTED IN PARTIAL

FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE

OF MASTER OF SCIENCE PROGRAM IN MARKETING

(INTERNATIONAL PROGRAM)

FACULTY OF COMMERCE AND ACCOUNTANCY

THAMMASAT UNIVERSITY

ACADEMIC YEAR 2016

COPYRIGHT OF THAMMASAT UNIVERSITY


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Independent Study Title KEY FACTORS INFLUENCING THAI

TRAVELERS TO CHOOSE A HOMESTAY

ACCOMMODATION IN THAILAND

Author Miss Noppanat Sekorarith

Degree Master of Science Program in Marketing

(International Program)

Major Field/Faculty/University Faculty of Commerce and Accountancy

Thammasat University

Independent Study Advisor Associate Professor James E. Nelson, Ph.D.

Academic Year 2016

ABSTRACT

Thailand is one of the most wonderful destinations for both foreign and Thai

travelers. There are many interesting places, delicious foods, friendly people, and

particularly, attractive accommodations. Currently, as Thai traveler behaviors are

changing, many travelers love to learn more about the ways of life of local people and

cultural exchanges. This leads to the attention of eco-tourism. Homestay has become

more popular and has a continuous growth trend.

Importantly, the homestay business generates revenue for the country. This

business has a key role in creating jobs and income; As a result, it also improves the

quality of life for local people. However, most homestay owners still lack a traveler

insight leading to them losing their travelers.

This research aims to assist homestay owners to attract more travelers to visit

their homestay. Findings of this research benefit homestay owners to understand more

about traveler behaviors and to focus on the correct target segment. Moreover, the key

factors influencing Thai travelers to select homestay in Thailand were addressed.

Following that, recommendations for homestay owners were provided in order to

develop the effective marketing strategies and also to respond to target market needs.

This research collected data through secondary data, in-depth interviews, and a

survey questionnaire. The non-probability (convenience) samples were applied in this

research with seven respondents for the in-depth interview and 352 respondents for


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the survey questionnaire. The target respondents are Thai travelers who have visited a

homestay in Thailand. The data were analyzed by qualitative and quantitative research

methods.

The research results showed that Thai travelers can be classified by

characteristics of five clusters: easy going, adventurous, introvert and private,

scenery-oriented, and sociable and personal image-oriented. Each cluster has different

preferences and perceptions. All clusters were significantly different on all choices of

criteria, except the factor of privacy and the usage of homestay.

As a recommendation, the cluster of sociable and personal image-oriented

should be targeted and offered the appropriate attributes from homestay owners in

order to be successful and sustainable in the homestay business.

Keywords: Eco-tourism, community-based homestay tourism, homestay owner,

traveler, local people, perceived value


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ACKNOWLEDGEMENTS

First of all, I would like to express my utmost gratitude to all those who

supported me throughout the course of Independent Study. Especially, I would like to

say a profound thank you to my beloved advisor, Assoc. Prof. Dr. James E. Nelson,

for giving me valuable comments and good guidelines for my assignment. I would

also like to thank Prof. Dr. Kenneth E. Miller for providing useful suggestions in

qualitative analysis. This research was supported by homestay owners and local

people distributing my questionnaires to Thai travelers. I am immensely grateful to all

my participants for sharing their opinions with the truth. In addition, I would like to

show my warm thanks to all my classmates in MIM 29, for their encouragement and

assistance.

Last but not least, I am also earnestly thankful to my family who always

understands and support me. This independent study would never have been

accomplished without the encouragement that you all gave to me. I am sincerely and

deeply grateful for all of the support I have received from every last one of you.

Miss Noppanat Sekorarth


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TABLE OF CONTENTS

Page

ABSTRACT (1)

ACKNOWLEDGEMENTS (3)

LIST OF TABLES (6)

LIST OF FIGURE (7)

CHAPTER 1 INTRODUCTION 1

1.1 Problem Statement and Research Purpose 1

1.2 Research Objectives 2

CHAPTER 2 REVIEW OF LITERATURE 3

CHAPTER 3 RESEARCH METHODOLOGY 7

3.1 Research Methodology 7

3.1.1 Secondary Research 7

3.1.2 Primary Research 7 3.2 Sampling Plan 10

3.3 Data Collection 10

3.3.1 Qualitative Method 10

3.3.2 Quantitative Method 12 3.4 Data Analysis 13

3.4.1 Qualitative data analysis 13

3.4.2 Quantitative data analysis 14

3.5 Theoretical Framework 17

3.6 Limitations of the Study 18


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CHAPTER 4 RESULTS AND DISCUSSION 19

4.1 Secondary Research – Key Findings 19

4.2 In-Depth Interviews with Thai Travelers – Key Findings 19

4.3 Survey Questionnaires with Thai Travelers – Key Findings 24

CHAPTER 5 CONCLUSIONS AND RECOMMENDATIONS 33

REFERENCES 37

APPENDICES

APPENDIX A: In-Depth Interview Questions 40

APPENDIX B: Thai Traveler Perception Questionnaire 41

APPENDIX C: Perceived value toward choice criteria 48

BIOGRAPHY 49


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LIST OF TABLES

Tables Page

3.1 Matching research objectives with research methodology 8

3.2 Sample size in each research methodology 10

3.3 Sessions of in-depth interview 12

3.4 Five key principles in analyzing qualitative data 14

3.5 Socio demographic details of study respondents (Dummy table) 15

3.6 Reporting ANOVA Thai traveler’s characteristics (Dummy table) 16

3.7 Description about characteristics of each cluster (Dummy table) 16

3.8 Reporting ANOVA choice criteria (Dummy table) 16

3.9 Reporting ANOVA frequencies of visiting 16

a homestay accommodation (Dummy table)

4.1 The in-depth interview results of demographic characteristics 20

4.2 The summarized results of in-depth interview 21

4.3 The survey questionnaire results of socio demographic details 25

4.4 The results of ANOVA Thai traveler’s characteristics 27

4.5 Description about characteristics of each cluster 28

4.6 The results of ANOVA choice criteria 29

4.7 The results of ANOVA frequencies of visiting 32

a homestay accommodation


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LIST OF FIGURE

Figure Page

3.1 Conceptual framework 17


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CHAPTER 1

INTRODUCTION

1.1 Problem statement and research purpose

These days, tourism is one of the most important sectors in generating revenue

in the Thai economy. Additionally, eco-tourism, especially in visiting a homestay

accommodation, has become more popular and had a continuous growth trend

because of changing traveler behaviors. Thai travelers are more interested in obtaining

a new and exciting experience through living with local people in their real life.

Homestay at “Chiang Khan in Loei”, “Mae Kampong village in Chiang Mai”, or

“Chiang Dao in Chiang Mai” can be good examples of the growing movement of Thai

travelers to select a homestay accommodation. Undeniably, the homestay business has

a major role in creating jobs and income; it also improves the standard of living for

local people. Certainly, the Thai government strongly supports local people by

promoting many traveling campaigns to attract Thai travelers to travel within the

country. Consequently, this is a great opportunity for local people to take advantage

of their homestay businesses.

However, most homestay owners still lack a good understanding of travelers

and their actual needs, and this leads to a loss of travelers. In each person, there are

differences in characteristics and perception including their preferences or things that

concern them. Every “touch point” for the travelers, including both the internal and

external perceptions, can impact traveler decisions to visit a homestay

accommodation. Therefore, to support local people and generate revenue to the

country, homestay owners should concentrate on traveler characteristics and their

actual needs, especially criteria toward choosing a homestay accommodation.

As a result, this research aims to assist homestay owners to attract more Thai

travelers to visit their homestay. The results of this research would be useful for

homestay owners to understand more about their travelers and to target the right

group regarding their characteristics. This would lead to an effective allocation of

budget. Furthermore, focusing on the correct factors that have an influence on


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attracting travelers visiting a homestay accommodation enhances the development

and the marketing strategies, while also responding to the target needs with real

insight.

This research answered some of the following essential questions: Which

characteristics of Thai travelers should homestay owners focus on? What are the key

factors that influence Thai travelers to choose a homestay accommodation in

Thailand?

For research theme, this research focuses on the subject area of society in

Thailand which described planned research on marketing and societal opportunity

topics in supporting local people for homestay business. This research was conducted

as comprehensive report for a contemporary topic in applied marketing.

1.2 Research objectives

1. To identify characteristics of Thai travelers toward visiting a homestay

accommodation

1.1 Divide a group of Thai travelers by characteristics

1.2 Identify points of differences of characteristics in each cluster

1.3 Describe characteristics of each cluster toward visiting a homestay

accommodation

2. To evaluate performance of homestay management via Thai traveler

perception

2.1 Investigate related attributes of homestay management that affect Thai

traveler perception which are service, activity and cultural exchanges,

host-guest interaction, establishment, location, and price

2.2 Identify points of differences of key factors that impact Thai traveler

decision criteria in choosing a homestay accommodation in each cluster

2.3 Identify area of improvement for each cluster

2.4 Identify area of unimportance to be concerned in each cluster

3. To provide recommendations to homestay owners regarding choosing a

homestay accommodation in Thailand for Thai travelers


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CHAPTER 2

REVIEW OF LITERATURE

It is generally accepted that Thailand is one of the most attractive destinations

to visit and has wonderful and memorable accommodations. According to

Vanhaleweyk (2016), Thailand’s tourism industry contributes about 10% of the

country’s GDP and has a trend continually generate more revenue. In addition,

ecotourism, especially in visiting homestay accommodations, has become more

popular and had a trend of growth (Pattano & Jareonwisan, 2015). “Homestay” for

Thailand is defined as private residences of host families that offer commercial

hospitality to travelers or guesthouses including space or room, private bed,

breakfasts, and community lodges with a fee; additionally, guests also have an

opportunity to learn and experience the lifestyles of local people through cultural

exchanges and interactions between the host and visitors such as being in their daily

activities (Boonratana, 2010). The homestay business creates jobs and income and

also enhances the quality of living for local people (Bhuiyan, Siwar, & Ismail, 2013).

Therefore, the Thai government strongly supports tourism through many marketing

campaigns such as “Amazing Thailand It Begins with the People,” “Quality Leisure

Destination through Thainess” and “Thai Travel Show” (Tourism Authority of

Thailand Newsroom, 2016).

According to Languepin (2016), the Thai government is promoting “Thailand

4.0” as a new economic model aimed to make Thailand ta high-income country.

Tourism is one of the plans to support the quality of living and generate revenue for

the country. The Thai government tries to encourage domestic travel and desires that

Thai people take vacations in Thailand. Destination Thailand News (2017) reported

that the Tourism Authority of Thailand (TAT) is following the “Thailand 4.0,

Economy 4.0” concept from the government by providing “Tourism 4.0” framework

and the “Regional Travel Challenge” project to stimulate cross-regional travel by

creating new experiences based on local allure and also generating income across the

country. This project would have a positive impact on society and favorable social

outcomes because it enhances cross-regional travel and attracts more travelers to


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travel within the country. Thus, homestay owners can take advantage of the

government’s plan to attract more Thai travelers to visit their homestays with creative

and innovating implementation plans such as the “Smart Thailand” concept (Thailand

4.0).

However, nowadays, most homestay owners still lack an understanding and

traveler insight. This results in homestay owners losing their travelers or offering

wrong attributes to their travelers due to subjective and differing preferences.

Consequently, in order to understand traveler behaviors, homestay owners should be

concerned with the various aspects that might affect traveler decisions.

Several studies related to tourism and hospitality have shown the effect of

perceived value of visiting homestays on different aspects of traveler behavior such as

travelers’ satisfaction and intention to return again or recommend to others. Petrick

(2002) proposed that “behavioral price, monetary price, emotional response, quality,

and reputation” are the factors influencing a consumer’s perspective on visiting tourist

attractions and accommodations. However, Al-Sabbahy, Ekinci, and Riley (2004)

argued that hospitality services evaluated through acquisition value and transaction

value are also factors affecting travelers’ decision. According to Jamal et al. (2011, p.

11), their study has shown five dimensions of perceived value in community-based

homestay: “functional value (establishment), functional value (price), experiential

value (host-guest interaction), experiential value (activity, culture and knowledge),

and emotional value.”

In marketing, Patterson and Spreng (1997) stated that value is defined by the

consumer’s perspective. Consumer perceived value is the most important criterion to

attract consumers after quality, consumer satisfaction and loyalty (Jamal, Othman, &

Muhammad, 2011). It is generally accepted that analyzing through perceived value

can enhance the understanding of consumer behavior (Nilson, 1992; Ostrom &

Iacobucci, 1995; Woodruff & Gardial, 1996). According to Sheth, Newman, and

Gross (1991), the functional value can be perceived from the utility and physical

performance based on rational and economic evaluations such as price and

establishment. On the other hand, the emotional value is related to internal emotions

or specific feelings, such as comfort, security, and excitement, including arousing

affective states (Sheth et al., 1991).


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Experiential value can be perceived from an environmental aspect and the

interaction between the environment and individuals via the dimensions of

internal/external, active/ passive, and self-guided/others-guided (Holbrook, 1994).

Simply put, Mathwick et al. (2001) classified the internal/external value including the

active/passive value as an experiential value scale. It is divided into four categories:

consumer return on investment (CROI), service excellence, aesthetics, and

playfulness. Following this, many researchers created this scale to measure perceiving

value of consumers in terms of an experiential aspect. Otto and Ritchie (1996)

developed and devised the service experience into four dimensions which are

hedonics, peace of mind, involvement, and recognition. Therefore, experiential value

is important for consumers to learn new experiences from real interactions with the

environment such as service scape and related activities in that business. These

experiences can be perceived as both internal feelings and external touching. In

addition, consumers can gain benefits from getting experiences that they have never

had before. The positive experiences impact consumer satisfaction, leading them to be

loyal to the brand.

Customer Value Proposition or CVP is the important framework that focuses

on the (potential) customer as the center of the business; then, added value is

generated (Vliet, 2014). Vliet (2014) also stated that there are many different values

that the customer considers to be significant and can lead to the improvement of the

customer value proposition: functional value, emotional value, economic value,

symbolic value, and end value. As the core business of homestay is service, it is a

challenge to create the correct value to be delivered to the customer. In this research,

emotional value, experiential value, functional value, and economic value were

considered to determine the key factors that impact Thai traveler decision criteria in

choosing a homestay accommodation in Thailand.

As a summary of the literature: (1) The homestay business has a growth trend

and an opportunity to expand as a business; (2) The homestay business can create jobs

and income to homestay owners and local people; (3) The Thai government has many

policies to encourage domestic travel leading to benefits to homestay owners; (4)

Most homestay owners still lack an understanding and traveler insight; (5) Perceiving

value and both internal and external factors can influence a travelers’ decision of


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choosing a homestay; (6) Previous research and marketing framework, such as

Customer Value Proposition (CVP), are very helpful in identifying key variables for

this study. The proposed study was provided with the following contributions.


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CHAPTER 3

RESEARCH METHODOLOGY

3.1 Research methodology

This research was conducted with both secondary and primary research

methods in order to achieve all of the research objectives.

3.1.1 Secondary research

Secondary research has objectives to gather general information about the

industry, the target’s perspective, and to summarize the literature review. Secondary

research is one type of exploratory research which aims to analyze the current

situation of the homestay business in Thailand such as the growth trend and the

business opportunity. Additionally, many aspects were investigated including the

traveler’s perspective. In short, these data were used to set the assumption of key

factors influencing Thai travelers to choose a homestay accommodation in Thailand.

3.1.2 Primary research

Primary research has objectives to gather information from the actual

customers, Thai travelers, in order to understand their behaviors and characteristics

including their perception toward choosing a homestay accommodation in Thailand.

The first method applied in-depth interview which is one type of exploratory research;

and the second method used a survey questionnaire which is descriptive research.

In-depth interview:

Objective is to gain traveler insight toward choosing a homestay

accommodation including the related areas. In-depth interview was arranged to ask

interviewees about (1) demographic characteristics to know the interests of each

person regarding their background and to link their basic information with their

perception; (2) traveler behavior and characteristics to understand the differences of

each person; (3) traveler perception to investigate main factors influencing their


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decision-making including their preferences and concerns; (4) traveler needs to

identify the real insight of traveler needs in order to fulfill their service and increase

traveler satisfaction. Overall, these results led to distinguishing traveler characteristics

and discovering the possible factors influencing traveler decisions resulting in

designing a survey questionnaire effectively.

Survey questionnaire:

The survey questionnaire was generated from exploratory research about key

factors influencing Thai travelers to choose a homestay accommodation in Thailand.

It aims to test points of differences between groups in terms of characteristics of Thai

travelers and attributes affecting Thai traveler decisions. The quantitative research in

terms of survey questionnaire was used for evaluating traveler characteristics and

perspective in each cluster. It was conducted via both online and offline

questionnaires with 352 respondents. The data were analyzed and interpreted as

recommendations for homestay owners to develop their business in the future.

Table 3.1 Matching research objectives with research methodology

Research objectives

Qualitative Quantitative

Secondary In-Depth

Interview Questionnaire

(1) To identify characteristics of Thai travelers toward visiting a homestay

accommodation

1.1 Divide a group of Thai

travelers by characteristics

1.2 Identify points of differences

of characteristics in each

cluster

1.3 Describe characteristics of

each cluster toward visiting a

homestay accommodation


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Research objectives

Qualitative Quantitative

Secondary In-Depth

Interview Questionnaire

(2) To evaluate performance of homestay management via Thai traveler

perception

2.1 Investigate related attributes of

homestay management that

affect Thai traveler perception

which are service, activity and

cultural exchanges, host-guest

interaction, establishment,

location, and price

2.2 Identify points of differences

of key factors that impact Thai

traveler decision criteria in

choosing a homestay

accommodation in each cluster

2.3 Identify area of improvement

for each cluster

2.4 Identify area of unimportance

to be concerned in each cluster

(3) To provide

recommendations to

homestay owners regarding

choosing a homestay

accommodation in Thailand

for Thai travelers


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3.2 Sampling plan

This study applied both qualitative and quantitative research methods. Because

of time constraints, both research methods used the non-probability (convenience)

samples in order to collect data more rapidly. The period of data collection was

approximately 85 days from Sunday December 25th

, 2016 to Monday March 20th

,

2017. For target population, both qualitative and quantitative methods targeted the

same population. Namely, target respondents are Thai travelers who have visited a

homestay in Thailand. The sample size in each research methodology is illustrated

below:

Table 3.2 Sample size in each research methodology

Type of research Method Sample size

Pilot test Actual

1. Qualitative In-depth interview 3 respondents 7 respondents

2. Quantitative Survey

questionnaire 10 respondents 352 respondents

3.3 Data collection

Data collection plans were described through qualitative and quantitative

methods as following:

3.3.1 Qualitative methods

Secondary data: basic information of homestay business and the related

articles were gathered as following:

Industry overview: Gathering information from published sources including reliable

websites such as Tourism Authority of Thailand, Tourism Statistics Thailand,

Homestay industry, and Thai travelers’ reviews about homestay in Thailand.


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Literature review: Academic journals and travelers’ perception toward visiting a

homestay, and accommodation articles done on electronic sources for identifying the

possible variables using criteria for choosing a homestay accommodation in Thailand.

In-depth interview (Primary research): To obtain insight data from Thai

travelers, a pilot test was applied for checking the suitability of in-depth interview

questions. Then, the actual in-depth interview was conducted.

In-depth interview:

An in-depth interview was conducted on 23rd

October 2016 as a pre-test pilot

for three respondents. All respondents were Thai and have visited a homestay

accommodation in Thailand. There were two males (ages 27, 29), and they work as a

business owner and a project manager, respectively. There was one female (age 36)

who works as a secretary.

After conducting the pre-test pilot, the actual in-depth interview at seven

respondents was continually conducted by face-to-face interview (Place: Nakhon

Ratchasima - Khao Yai and Bangkok) and telephone interview (Place: Chiang Mai)

between Sunday December 25th

, 2016 and Tuesday December 27th

, 2016. All

respondents were Thai and have visited a homestay accommodation in Thailand.

Three males (ages 21, 30, 53) are full-time Bachelor’s and Master’s degree students,

while another works as an underwriter. Among four females (ages 26, 28, 36, 63), one

of them is a Master’s degree student, while the others work as a marketing officer, a

celebrity manager, and a retired government official, respectively. The objectives are

to explore the insight into Thai traveler’s (who have visited a homestay in Thailand)

behaviors and characteristics and their perception toward choosing a homestay

accommodation in order to using the in-depth interview results to design a survey

questionnaire. (See Appendix A: In-depth interview questions)

The qualified respondents were recruited through walk-ins to each homestay

and through personal contact from the researcher. The screening questions were asked

before conducting the in-depth interview in order to qualify all of the respondents.

The in-depth interviews were conducted by face-to-face and telephone interviews


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between Sunday December 25th

, 2016 and Tuesday December 27th

, 2016. Three

sessions of in-depth interviews were conducted as following:

Table 3.3 Sessions of in-depth interview

Date Place Channel

December 25th

, 2016 Nakhon Ratchasima

(Khao Yai) Face-to-face communication

December 26th

, 2016 Bangkok Face-to-face communication

December 27th

, 2016 Chiang Mai By telephone

3.3.2 Quantitative method

Survey questionnaire (Primary research): The survey questionnaire was

designed according to the secondary data, such as previous studies, and the in-depth

interview. After conducting a pre-test pilot for 10 respondents on 31st January 2017,

the survey questionnaire was revised to have a clear understanding and more

accuracy. Online and offline questionnaires were distributed to Thai travelers who

have visited a homestay accommodation in Thailand of 352 respondents as the

targeted sample size.

Online questionnaire:

The online questionnaires were sent and shared on Facebook pages and related

websites about homestay such as pantip.com in traveling topics and homestaythai.net.

Furthermore, it was distributed via personal contact in chatting application such as

Facebook Messenger and Line. In addition, to inspire participation, all of respondents

had a chance from drawing lots: a 200 baht Starbucks card.

Offline questionnaire:

The offline questionnaires were distributed through dropping at each homestay

that the researcher had already contacted. The researcher clarified the survey

questionnaires as academically-purposed and asked for assistance from homestay


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owners to distribute to Thai travelers visiting their homestay. The researcher provided

the recommendations to homestay owners after all the data were analyzed and

interpreted.

The time period of actual questionnaire distribution was arranged from

Monday February 6th

, 2017 to Monday March 20th

, 2017. The definition of homestay

was described to all respondents in order to maintain an equal understand. The

questions were divided into five sections with 43 items. This survey questionnaire

should take no longer than 10 minutes to complete. (See Appendix B: Thai Traveler

Perception Questionnaire)

3.4 Data analysis

The data analysis plan was divided into two parts: qualitative data analysis and

quantitative data analysis. All analysis plans were conducted as following:

3.4.1 Qualitative data analysis

Secondary data: All secondary data from public sources and previous studies

were concluded to describe general information regarding the homestay business such

as trends and opportunities to expand. The results of previous research were identified

as key factors in impacting Thai traveler decisions.

In-depth interview: The results were summarized into four main points as

following:

Demographic characteristics: Including basic information on Thai travelers who visit

a homestay accommodation in Thailand such as gender, age, education, household

size, household income, and occupation.

Traveler behavior and characteristics: Including the reasons to visit a homestay

accommodation, the purpose of traveling, travel party, levels of privacy, the

frequency of visits, the length of stay, and activities to join


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Traveler perception: Including the key factors influencing Thai traveler satisfaction

toward visiting a homestay accommodation and reasons why they would like to return

again or recommend to others such as friends and family

Traveler needs: Including the actual needs of the travelers in many aspects toward

visiting a homestay accommodation, areas for homestay improvement, and

suggestions from travelers

There were five key principles in analyzing qualitative data (Miller, 2016):

Table 3.4 five key principles in analyzing qualitative data

Step 1 Step 2 Step 3 Step 4 Step 5

Be

subjective

Start during

fieldwork.

Analysis

stops when

finishing the

report.

Describe first:

Activity, cultural

exchanges,

location, friendly

homestay owner

Look for

patterns:

Characteristics

segments,

Needs-based

segments

Interpret and tell

a story:

Travelers

perceive value

leading to

decision criteria

3.4.2 Quantitative data analysis

Survey questionnaire: The data were analyzed after the survey

questionnaires were screened and some errors were completely edited to ensure the

accuracy of data. The data were coded and entered into Microsoft Excel

electronically. The data were used in the computer tabulations and analyzed by the

Statistical Package for the Social Sciences (SPSS) for analysis of cluster, frequency

distribution, cross-tabulations, means and standard deviations, correlation and

differences between groups, and other statistical analysis as appropriate. The below

tables are shown as an example of reporting research results.


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Dummy tables:

Table 3.5 Socio demographic details of study respondents

Demographic characteristics Data

Gender Male – n (%), Female – n (%),

Others – n (%)

Age in years Frequency, Percent

Education Less than high school,

High school graduate,

Associate’s degree,

Bachelor’s degree,

Master’s degree,

Doctorate’s degree and over, and others

Household size Frequency, Percent

Household income Frequency, Percent

Occupation Student,

Corporate employee,

Government officer,

State enterprise officer,

Self-employed/Freelance,

Business owner,

Unemployed, and others

Frequencies of visiting a homestay

accommodation (Number of visiting

homestay * The length of staying)

Frequency distribution, Percent

Levels of satisfaction toward a



Levels of intention to revisit and

recommend to others toward a




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Table 3.6 Reporting ANOVA Thai traveler’s characteristics

Characteristics

Means (Standard Deviations)

F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Statement 1

Statement 2

Statement 3

Table 3.7 Description about characteristics of each cluster

Clusters Definition Description about characteristics of each cluster

Cluster 1

Cluster 2

Cluster 3

Table 3.8 Reporting ANOVA choice criteria

Attributes


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Statement 1

Statement 2

Statement 3

Table 3.9 Reporting ANOVA frequencies of visiting a homestay accommodation

Traveler

behavior


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Frequency

(night per year)


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3.5 Theoretical framework

Identification of key research variables

There are some key variables of this study to be considered as following:

The demographic characteristics of target segments: The characteristics of Thai

travelers who have visited a homestay accommodation such as gender, age in years,

education, household size, household income, occupation, number of visiting

homestay, and the length of staying.

Variables for Thai traveler’s characteristics: Nine variables to identify characteristics

of each traveler: adventurous, natural scenery-oriented, outdoor activity-addicted,

favoring groups, extrovert, talkative, sociable online, trendy and personal image-

concerned, and following

Variables for choice criteria: Emotional value (Service), experiential value (Activity

and cultural exchanges), experiential value (Host-guest interaction), functional value

(Establishment), functional value (Location), and economic value (Price)

Conceptual framework

Matching with

Figure 3.1 Conceptual framework

Data

(352 respondents)

Cluster

(Five clusters)

Key factors

(Impact on decision-

making of each cluster)

Characteristics

(Nine variables)


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3.6 Limitations of the Study

Limitations: The time constraints and limited budget caused this research to use non-

probability sampling method. Thus, the results from this study did not represent the

entire population.

Delimitations: This research targets only Thai travelers to be respondents because (1)

it was easier to collect the data, especially questionnaire distribution via Facebook and

chatting applications, due to the use of personal contacts. (2) Targeting only Thai

travelers were more specific and the Thai traveler perspective was used in order to

create the marketing strategy correctly and to also support the government policy of

encouraging Thai people to travel in Thailand. The research would apply an area of

marketing knowledge relevant to society which is important to Thailand today.


19

CHAPTER 4

RESULTS AND DISCUSSION

4.1 Secondary Research – Key Findings

Currently, the homestay business has a growth trend and a potential to expand

because Thai travelers are more interested in living with local people to learn about

their daily lives and to obtain new experiences while experiencing natural scenery.

More travelers lead to the creating of jobs and income for local people. As a result,

the Thai government strongly supports domestic travel. Nevertheless, most homestay

owners still lack an understanding and traveler insight resulting in losing their

travelers and offering unsuitable service to their customers.

Importantly, the perceiving value of both internal and external factors impacts

the traveler’s satisfaction and their decision making toward choosing a homestay

accommodation. According to previous research and Customer Value Proposition

(CVP) marketing framework, functional and emotional values were shown in almost

all research studies including in the marketing theory. Most travelers pay attention to

establishment, price, and service of their accommodation. Additionally, some

researchers mentioned experiential value that creates interaction between environment

and individuals; this leads to new experience to travelers.

Overall, every touch point for the travelers impacts the traveler perception

towards creating their own criteria. The results of secondary data, emotional value,

experiential value, functional value, and economic value were considered to

determine the key factors that impact Thai traveler decision criteria in choosing a

homestay accommodation in Thailand.

4.2 In-Depth Interviews with Thai Travelers – Key Findings

According to the in-depth interview, the demographic characteristics of seven

respondents were summarized as the table below:


20

Table 4.1 The in-depth interview results of demographic characteristics

Name

(Alias) Gender Age Education

Household

size

Household

income per

month (Baht)

Occupation

A Male 21 Bachelor’s

degree 3 120,000

Full-time

student in

Bachelor’s

degree

B Male 30 Master’s

degree 4 Over 100,000

Full-time

student in

Master’s

degree

C Male 53 Associate’s

degree 1 60,000 Underwriter

D Female 26 Master’s

degree 3 300,000

Full-time

student in

Master’s

degree

E Female 28 Master’s

degree 5-6 400,000

Marketing

officer

F Female 36 Bachelor’s

degree 3 100,000

Celebrity

manager

G Female 63 Master’s

degree 3 75,000

Retired

government

official


21

Table 4.2 The summarized results of the in-depth interview

Name

(Alias)

Traveler behavior and

characteristics

Traveler perception

(Verbatim) Traveler needs

A

Traveling purposes are to relax

and spend his time without

worry. He prefers to travel

alone and cares about his

privacy. Normally, he visits

homestays during his semester

break. And, he enjoys

participating in local activities.

Location is the first criterion to

choose a homestay

accommodation because he

needs his accommodation to be

close to natural scenery and

located in private zone.

(“Homestay helps me to escape

the rush of everyday life”)

1. Environmental

concern of the

host

B

His traveling purposes are for

fun, to relax, and to take a rest.

He enjoys traveling with

friends. He is concerned about

his privacy because he does not

want to talk with new people.

He loves his comfort zone.

Basically, he visits once a year

with two to three nights per

visit. He enjoys extremely

adventurous activities.

He perceives homestay as a

natural accommodation and

relaxation with cheap prices.

But, he is concerned about

scenery, cleanliness, the comfort

of bed, and deliciousness of food

including service and activities

provided. He is so sensitive with

feelings. (“If a homestay owner

makes a mistake once, I will not

stay with them again”)

1. Facilities such

as Free Wi-Fi

and phone

signal

2. Spa and

massage

C

The purpose of traveling is to

explore new things. He is

comfortable travelling with

friends, not exceeding four

people. He does not care about

his privacy. He visits a

homestay just once per year

and enjoys outdoor activities.

Cleanliness, interesting

activities, natural scenery,

friendliness of local people, and

the way the local people’s live

impact the criteria to choose a

homestay accommodation.

(“Living amongst the locals is

the real definition of travel”)

1. Outdoor

activities

related with

local daily life


22

Name

(Alias)


characteristics

Traveler perception


D

The purposes of traveling are

to get new experiences and do

different activities outside the

city life. She would like to

make friends along the way

and does not care about her

privacy. Normally, she visits a

homestay once a year with one

night per visit. She loves to

join unique activities as the

local people would do and

prefers to join adventurous

activities if she can do it.

Value of experience, such as

interaction with the host, service,

and value for money are main

factors that enhance her

satisfaction. She is also

concerned with the ambience of

the location.

(“Homestays are a newfound

experience for me”)

1. Cleanliness:

everything

should have

good hygiene,

especially

food.

2. Communication

such as

providing

information

about location

of the

homestay or

the time for

checking in

E

She loves to choose her

accommodation near natural

scenery and to take rests with

fresh air, but no outdoor

activities. She is concerned

about her budget; thus, a cheap

homestay can make her feel

good. When traveling, she

prefers to travel with a few

friends. She cares quite much

about her privacy. She would

visit a homestay just one time

and one night per year.

She perceives cleanliness of

facilities, safety, and price as

priority factors that affect her

satisfaction. To go beyond her

satisfaction, the host can help

her when she needs it.

(“Staying at homestays allows

me to save on my travels”)

1. Safety,

especially the

structure of

establishment


23

Name

(Alias)


characteristics

Traveler perception


F

Her traveling purposes are to

take a rest and to have chic

photos to post on her

Facebook. She wants to be chic

and cool in the eyes of her

friends. She prefers traveling

with friends and family. She is

strongly concerned about her

privacy. She would visit a

homestay just one night per

year. She would like to try

cooking with the host.

Cleanliness, privacy, and service

mind are the top criteria in her

mind upon choosing her

accommodation when traveling.

(“I do not care about anything

else, other than posting beautiful

pictures onto my social

network”)

N/A

G

Wonderful scenery and having

it be natural is the first criterion

to choose her accommodation

when traveling because she

would like to take a rest. She

loves to travel with her family.

She worries about her privacy.

In one year, she visits a

homestay for seven nights in

her one visit. She loves to go

shopping in local markets and

to go roaming about the forest.

The smiles of local people can

enhance her satisfaction. She

feels happy every time she

exchanges her story with the

hosts and learning new

experience from local people.

She enjoys living among local

people. Importantly, beautiful

views can improve her

satisfaction to be loyal to that

homestay. (“No matter the

distance or the difficulty, I seek

accommodation with beautiful

and natural scenic views”)

1. Clear

direction to

the homestay

such as correct

GPS, clear

location or

map

2. Well

decorated

In conclusion, most travelers choose a homestay accommodation to relax and

to take a rest, but just one person has another purpose which is to have chic photos to

post on social media. It shows that wonderful scenery and varied views can attract


24

both major travelers and a person who cares about personal image. Most respondents

prefer to travel with their friends while some travelers love to travel with their family

or to travel alone or make friends along the way. Most of them are willing to join

local activities. From the in-depth interview results, most travelers tend to spend their

time just a few days to visit a homestay accommodation except Ms. G who has

already retired. Surprisingly, there were five from seven respondents who were

concerned about their privacy.

For the key factors influencing traveler decision criteria, the top one factor is

location near beautiful and natural scenery followed by cleanliness, good service,

friendly host, new experiences, and price, while other factors, such as safe structure,

host-guest interaction, cultural exchanges, well facilities, and assistance from host,

were mentioned in the in-depth interview. From reviewing the secondary data, there

was one factor that emerges from the in-depth interview which is “location.” Location

from the meaning of travelers was defined as a homestay accommodation located near

natural scenery and wonderful views. Therefore, the researcher included “location” as

a functional value that travelers perceive as another key factor to impact on their

decision to select a homestay accommodation in Thailand.

Importantly, traveler needs are also critical issues of potential concern.

According to the in-depth interview results, each traveler has different needs

depending on the levels of importance in each factor and criteria in their minds. To

conclude, there were nine issues that homestay owners should improve upon:

environmental concerns, cleanliness, safe structure of establishment, varieties of local

activities, communication to travelers, clear direction to the homestay, good design

and decoration, spa and massage, and Free Wi-Fi and phone signal.

4.3 Survey Questionnaires with Thai Travelers – Key Findings

The below tables show the results of survey questionnaires from 352

respondents. According to data collection, there were 485 participants to conduct this

survey questionnaire: 55 participants of offline channels and 430 participants of

online channels. From 485 participants, there were just 370 participants to be targeted

(Thai travelers who have visited a homestay accommodation in Thailand). However,


25

there were 18 participants as “data missing” or as errors because (1) repeated survey

questionnaire from the same person; (2) irrational answers. After cleaning the data

and eliminating some errors, there were 352 targeted respondents to be analyzed in

this research.

Table 4.3 The survey questionnaire results of socio demographic details (n = 352)


Gender Male – n = 133 (37.78%)

Female – n = 219 (62.22%)

Others – n = 0 (0.00%)

Age in years Less than 15 years old – n = 0 (0.00%)

15-24 years old – n = 13 (3.69%)

25-34 years old – n = 215 (61.08%)

35-44 years old – n = 59 (16.76%)

45-59 years old – n = 27 (7.67%)

60 years old and over – n = 38 (10.80%)

Education Less than high school – n = 0 (0.00%)

High school graduate – n = 3 (0.85%)

Associate’s degree – n = 6 (1.71%)

Bachelor’s degree – n = 155 (44.03%)

Master’s degree – n = 176 (50.00%)

Doctorate’s degree and over – n = 11 (3.13%)

Others – n = 1 (0.28%)

Household size 1 person – n = 5 (1.42%)

2 persons – n = 23 (6.53%)

3-5 persons – n = 274 (77.84%)

More than 5 persons – n = 50 (14.21%)

Household income Below 26,000 Baht – n = 28 (7.95%)

26,000-52,999 Baht – n = 70 (19.89%)

53,000-64,999 Baht – n = 38 (10.80%)


26


Household income 65,000-100,000 Baht – n = 74 (21.02%)

Above 100,000 Baht – n = 142 (40.34%)

Occupation Student – n = 23 (6.53%)

Corporate employee – n = 162 (46.02%)

Government officer – n = 44 (12.50%)

State enterprise officer – n = 24 (6.82%)

Self-employed/Freelance – n = 14 (3.98%)

Business owner – n = 51 (14.49%)

Unemployed – n = 8 (2.27%)

Others – n = 26 (7.39%)

Frequencies of visiting a


(Number of visiting homestay

* The length of staying)

Light users (1-2 night(s) per year): n = 184 (52.27%)

Moderate users (3-5 nights per year): n = 105 (29.83%)

Heavy users (6-30 nights per year): n = 63 (17.90%)

Levels of satisfaction toward a


Levels of satisfaction:

Highly satisfied – n = 57 (16.19%)

Satisfied – n = 219 (62.22%)

Neither satisfied nor dissatisfied – n = 75 (21.31%)

Dissatisfied – n = 1 (0.28%)

Highly dissatisfied – n = 0 (0.00%)

Levels of intention to revisit

and recommend to others

toward a homestay

accommodation

Intention to revisit:

Definitely revisit – n = 64 (18.18%)

Probably revisit – n = 171 (48.58%)

Neutral – n = 104 (29.55%)

Probably not revisit – n = 10 (2.84%)

Definitely not revisit – n = 3 (0.85%)

Intention to recommend to others:

Definitely recommend – n = 75 (21.31%)

Probably recommend – n = 189 (53.69%)

Neutral – n = 78 (22.16%)


27


Levels of intention to revisit

and recommend to others

toward a homestay

accommodation

Probably not recommend – n = 8 (2.27%)

Definitely not recommend – n = 2 (0.57%)

Table 4.4 The results of ANOVA Thai traveler’s characteristics

Characteristics


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Adventurous 4.67

(.53)

4.83

(.45)

3.43

(.88)

4.03

(.76)

4.07

(.53)

4.28

(.83)

56.26

.000

Natural scenery-

oriented

4.97

(.16)

4.97

(.17)

3.84

(.56)

4.97

(.17)

3.97

(.33)

4.67

(.58)

238.65

.000

Outdoor

activity-

addicted

4.32

(.89)

4.71

(.52)

3.09

(.90)

3.54

(.91)

3.93

(.75)

3.96

(1.01)

44.05

.000

Favoring groups 4.66

(.55)

4.01

(.90)

3.73

(.76)

3.87

(1.03)

4.14

(.69)

4.15

(.87)

19.72

.000

Extrovert 4.09

(.80)

3.54

(.93)

2.89

(.97)

2.55

(1.07)

3.69

(.76)

3.40

(1.09)

37.89

.000

Talkative 4.34

(.62)

3.75

(.95)

3.29

(.78)

3.03

(.86)

3.97

(.57)

3.72

(.92)

38.48

.000

Sociable online 4.27

(.74)

3.17

(1.32)

3.27

(1.09)

3.38

(1.10)

4.31

(.47)

3.68

(1.12)

21.15

.000

Trendy and

personal image-

concerned

3.53

(1.12)

1.73

(.84)

2.31

(1.03)

2.28

(1.07)

3.41

(.83)

2.67

(1.24)

43.58

.000

Following 4.35

(.65)

3.20

(1.17)

3.13

(1.05)

3.79

(.86)

4.17

(.47)

3.76

(1.03)

29.73

.000


28

In terms of traveler’s characteristics, all respondents were asked to rate levels

of their characteristics through one to five Likert scales (1 = strongly disagree, 5 =

strongly agree). There were nine characteristics to identify each respondent.

Importantly, all respondents can be classified as a group or a cluster. There are five

clusters and all clusters are significantly different on all characteristics (P ≤ 0.00).

For cluster analysis procedure, (1) comparing mean of each cluster with total

means; (2) separating those clusters which are above or below total means: above the

total means can be defined as those clusters that agree with such characteristic rather

than other clusters, while below the total means can be implied that they disagree with

that statement rather than the others; (3) focusing on the highest mean or top three

means and the lowest mean in each cluster in order to know the characteristics that

match with each cluster; (4) providing the description about characteristics of each

cluster.

Table 4.5 Description about characteristics of each cluster (n = 352)


Cluster 1 “Easy going” “Easy going” (n = 113) is a traveler who loves to join

adventurous and outdoor activities, and also feels happy to

travel with natural scenery. This segment would be a sociable

person who loves to talk and share their story with many

people through both face-to-face communication and social

media.

Cluster 2 “Adventurous” “Adventurous” (n = 69) is a traveler who extremely loves to

join adventurous and outdoor activities to obtain exciting

experiences through natural travelling. This segment does not

care about their privacy; they enjoy talking with many people.

Cluster 3 “Introvert and

private”

“Introvert and private” (n = 70) is traveler who prefers to travel

alone with comfortable activities. This segment is concerned

about their privacy and does not share their experience to

others.


29


Cluster 4 “Scenery-

oriented”

“Scenery oriented” (n = 71) is a traveler who has a passion in

natural and beautiful scenery. This segment is easy to be

attracted by wonderful views. This leads to influencing them to

choose their places to travel and their accommodation

according to these views.

Cluster 5 “Sociable and

personal

image-

oriented”

“Sociable and personal image-oriented” (n = 29) is a traveler

who enjoys chatting with friends or others, and loves to share

their experience on social media. This segment is concerned

about their image. On personal image, they would like to be

hipster, cool, and trendy on social media.

After identifying characteristics of each cluster, all attributes cover emotional,

experiential, functional, and economic values to evaluate perceiving value of Thai

travelers. A one-way ANOVA was applied to compare differences between groups of

five clusters toward choice criteria to choose a homestay accommodation in Thailand,

as the following table shows:

(See Appendix C: Perceived value toward choice criteria)

Table 4.6 The results of ANOVA choice criteria

Attributes


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Well cleaned 4.75

(.49)

4.52

(.56)

4.37

(.77)

4.75

(.50)

4.48

(.69)

4.61

(.60)

6.25

.000

Welcome drink

and meals

4.33

(.73)

3.77

(1.02)

3.77

(.73)

4.18

(.76)

4.21

(.68)

4.07

(.83)

8.51

.000

Local guide and

shuttle bus

3.88

(.80)

3.35

(1.16)

3.34

(.82)

3.45

(1.03)

3.79

(.68)

3.57

(.95)

5.88

.000

Local activities 4.09

(.79)

3.62

(.93)

3.39

(.75)

3.28

(1.02)

3.52

(.69)

3.65

(.91)

12.70

.000


30

Attributes


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Cultural

exchanges

4.18

(.77)

3.80

(.93)

3.43

(.75)

3.44

(.87)

3.72

(.84)

3.77

(.88)

12.71

.000

New experience 4.60

(.54)

4.49

(.61)

3.87

(.66)

4.04

(.78)

4.31

(.60)

4.30

(.70)

18.69

.000

Friendly host 4.82

(.47)

4.77

(.46)

4.27

(.72)

4.63

(.59)

4.31

(.66)

4.62

(.61)

13.62

.000

Host-guest

interaction

4.33

(.84)

3.90

(1.02)

3.70

(.75)

3.66

(1.03)

3.86

(.74)

3.95

(.93)

8.38

.000

Assistance from

host

4.82

(.41)

4.55

(.63)

4.23

(.69)

4.62

(.52)

4.38

(.56)

4.57

(.59)

13.69

.000

Good facilities 4.61

(.65)

4.36

(.79)

4.26

(.79)

4.63

(.57)

4.31

(.66)

4.47

(.71)

4.60

.001

Stable and safe

structure

4.74

(.50)

4.59

(.65)

4.33

(.78)

4.73

(.51)

4.35

(.67)

4.59

(.63)

6.97

.000

Good design and

decoration

4.17

(.84)

3.70

(1.06)

3.69

(.81)

4.09

(.89)

4.21

(.68)

3.97

(.91)

5.74

.000

Transportation

provided

4.39

(.83)

3.74

(1.07)

3.96

(.89)

4.04

(.96)

4.07

(.75)

4.08

(.94)

5.99

.000

Near natural

scenery

4.66

(.55)

4.55

(.63)

4.14

(.73)

4.58

(.58)

4.24

(.69)

4.49

(.65)

9.38

.000

Located in a

private zone

3.80

(.89)

3.71

(.82)

3.53

(.83)

3.78

(.87)

3.72

(.53)

3.72

(.84)

1.23

.297

Cheap price 3.83

(.89)

3.46

(.92)

3.41

(.83)

3.54

(.92)

3.69

(.93)

3.61

(.90)

3.24

.013

Reasonable price 4.64

(.64)

4.62

(.62)

4.17

(.82)

4.54

(.61)

4.48

(.58)

4.51

(.68)

6.12

.000

Price

discrimination

3.35

(1.24)

2.51

(1.28)

2.89

(1.11)

2.80

(1.25)

3.31

(1.00)

2.98

(1.24)

6.39

.000


31

The results show that clusters are significantly different (P < 0.05) on all

choice criteria except “located in a private zone” (F = 1.23, Sig. = .297). The factor of

“located in a private zone” is indifferent between groups: every cluster perceives the

same value of this factor. In order to understand the real insight of each cluster toward

choice criteria to choose a homestay accommodation, the discussion of the above

table is described by each cluster.

Cluster 1 (Easy going): All attributes impact their-decision making in

choosing a homestay accommodation in Thailand as they rated the levels of

importance in each choice criterion above the total means. Especially, “Friendly host”

and “Assistance from host” are the highest mean at 4.82 while “Price discrimination”

is less importance to their decision criteria which has mean at 3.35.

Cluster 2 (Adventurous): When compared with the average, cluster 2 are more

concerned on “Friendly host”, “Reasonable price”, “Stable and safe structure”, “Near

natural scenery”, “New experience”, and “Cultural exchanges” respectively. The

highest mean of cluster 2 is “Friendly host” (mean = 4.77) while “Price

discrimination” (mean = 2.51) is the lowest importance of cluster 2 and also below the

total means.

Cluster 3 (Introvert and private): All attributes have less impact on their choice

criteria to select a homestay accommodation in Thailand as they rated the levels of

importance in each attribute below the total means. Although all factors are below the

average, there are seven factors that they rated quite high (more than 4.00) which are

“Well cleaned,” “Stable and safe structure,” “Friendly host,” “Good facilities,”

“Assistance from host,” “Reasonable price,” and “Near natural scenery” respectively.

Cluster 3 is less concerned about “Price discrimination” at 2.89 which is below the

total means.

Cluster 4 (Scenery-oriented): Basically, cluster 4 perceives “Well cleaned”

(mean = 4.75) and “Stable and safe structure” (mean = 4.73) as the top two criteria in

impacting their decision. Additionally, cluster 4 gives importance to service, host-

guest interaction, establishment, location, and price. But they do not worry about

“Price discrimination” as can be seen from the lowest mean at 2.80.

Cluster 5 (Sociable and personal image-oriented): There are six factors above

the average which are “New experience” (mean = 4.31), “Welcome drink and meals”,


32

“Good design and decoration”, “Local guide and shuttle bus”, “Cheap price”, and

“Price discrimination” respectively. Surprisingly, most attributes that are below the

total means have higher mean than the top factor. For example, “Well cleaned” and

“Reasonable price” (means = 4.48) have higher means than the attributes that are

above average. However, “Price discrimination” is still rated as the lowest mean

although it is higher than other clusters except cluster 1.

According to total mean scores, Thai travelers perceive the value of “Friendly

host,” “Well cleaned,” “Stable and safe structure,” “Assistance from host,” and

“Reasonable price” as the top five choice criteria to choose a homestay

accommodation in Thailand. Certainly, “Price discrimination” is the lowest mean in

every cluster.

The next table aims to check differences between clusters regarding the

frequencies of visiting a homestay accommodation.

Table 4.7 The results of ANOVA frequencies of visiting a homestay accommodation

Traveler

behavior


F Sig. Cluster

1

Cluster

2

Cluster

3

Cluster

4

Cluster

5 Total

Frequency

(night per year)

3.69

(2.78)

3.78

(3.26)

3.30

(3.93)

3.18

(2.84)

3.62

(3.70)

3.52

(3.21)

.48

.752

The result illustrates that clusters are not significantly different (P > 0.05) on

factor of frequency. Each cluster has quite the same frequency of visiting a homestay

accommodation in Thailand. Therefore, homestay owners do not need to be

concerned about the impact of frequency.


33

CHAPTER 5

CONCLUSIONS AND RECOMMENDATIONS

According to the results of 352 respondents, most respondents were female

and had ages between 25 and 34 years old which are considered as generation Y.

They love to explore the world outside their daily lives and to obtain new experiences.

Visiting a homestay accommodation can create value which responds to their

traveling needs. Most respondents were well educated with Master’s degrees and had

high household incomes above 100,000 Baht per month, including those living with

three to five people in their family. Most of them worked as a corporate employee;

they often would like to take a rest when having a vacation. It can be seen from usage

of homestay accommodations that the highest number of travelers are “Light users”

who spent their time there with just one to two nights per year. In addition, most

respondents had levels of satisfaction as “satisfied” and intention to revisit as

“probably revisit” and would “probably recommend” to others.

Therefore, homestay owners should put more efforts and provide more

effective marketing strategies to enhance traveler satisfaction to be “highly satisfied”

and willing to “definitely revisit” and “definitely recommend” to others. Although

frequency of visiting a homestay accommodation is not significantly different

between the five clusters, the homestay owners should encourage Thai travelers in

every cluster to visit the homestays longer because that would increase the life time

value of travelers leading them to be loyal.

From the results of classified clusters, the size of travelers in each cluster is

important and a matter of concern. There are five clusters: cluster 1 “Easy going” (n =

113), cluster 2 “Adventurous” (n = 69), cluster 3 “Introvert and private” (n = 70),

cluster 4 “Scenery-oriented” (n = 71), and cluster 5 “Sociable and personal image-

oriented” (n = 29). The size of travelers impacts the levels of competition in the

market and affects the planning of marketing strategies. In each cluster, there are

different characteristics influencing traveler decision to choose a homestay

accommodation in Thailand.


34

As there are five segments of Thai traveler’s characteristics, homestay owners

should focus on only one cluster as their target because it enhances concentration on

the most suitable cluster to their business and it is easier to plan their marketing

strategies and create a strongly-positioned brand. The managerial implications of the

research results as following:

Cluster 1“Easy going” (n = 113): Cluster 1 can represent a majority of Thai

travelers who perceive experiential value in terms of host-guest interaction as the

important criteria. As the largest target size, homestay owners should apply the “Red

ocean strategy” in their marketing plan. There are many competitors in this market.

To gain more market share and maximize profits, homestay owners should penetrate

the market via offering promotions and providing the best service in the main

attributes that concern major Thai travelers. Homestay owners should communicate

via public sources such as billboards and promoting the homestay at events in order to

attract large groups of people. It can be argued that doing marketing is straining on

budgets. The red ocean strategy has some drawbacks because every homestay owner

tends to compete with prices to attract travelers leading to price wars and a lack of

sustainability of the business.

Cluster 2 “Adventurous” (n = 69): With a moderate size of respondents, it is

less competition than the market in cluster 1. Due to specific characteristic of

travelers, homestay owners should focus on traveler preference such as providing

adventurous and outdoor activities. Additionally, homestay owners should be

concerned with the top criteria affecting traveler decisions such as “Friendly host”,

“Reasonable price”, “Stable and safe structure”, and “Near natural scenery”.

Cluster 3 “Introvert and private” (n = 70): It is also a moderate size of Thai

travelers. As cluster 3 is concerned about privacy, they tend to spend their time with

themselves and focus on service-scape. Therefore, all touch points should be perfect,

especially service and establishment. In order to attract cluster 3, homestay owners

should offer exclusive things to make them feel like they are an important person.

Cluster 4 “Scenery oriented” (n = 71): Cluster 4 is a moderate size of Thai

travelers who are interested in visiting a homestay accommodation. They have a

passion for beautiful views and are easily attracted by wonderful photos on social

media. They perceive “Well cleaned” and “Stable and safe structure” as the


35

prioritized criteria impacting their decision. Consequently, homestay owners should

promote their homestay via social media with attractive views. Homestay owners can

take advantage from conducting online marketing because it saves time and budget.

Then, information can reach the target rapidly.

Cluster 5 “Sociable and personal image-oriented” (n = 29): As the lowest of

sample sizes which represents an entire population, “Blue ocean strategy” can be

applied in this cluster because blue ocean strategy creates and differentiates products

or services to attract demands in uncontested markets and can set the premium price

in order to maximize profits. This cluster is mainly concerned about getting “New

experience” and “Well design and decoration”. Homestay owners should prepare

different activities but that are still related to local lifestyles including nice

decorations as a theme, appealing to travelers who love to take photos. Moreover,

homestay owners can advertise their homestay via social media because cluster 5

perceives information through Facebook and Instagram.

However, homestay owners should be concerned with choice criteria of every

cluster in order to provide the basic service to serve every traveler when they come.

Every traveler can switch to be customers at any time. Overall, the most important

criteria from the total mean are shown below:

Top five criteria:

1. Friendly host (mean = 4.62)

2. Well cleaned (mean = 4.61)

3. Stable and safe structure (mean = 4.59)

4. Assistance from host (mean = 4.57)

5. Reasonable price (mean = 4.51)

All top five criteria have a mean score above 4.50. These criteria should be

focused on and improved to attract more Thai travelers to visit a homestay

accommodation. However, “Price discrimination” (mean = 2.98) is the least important

to be of concern.


36

Recommendation: The researcher suggests that homestay owners should select

“Cluster 5” as a target. There are many reasons to support this recommendation:

1. As, nowadays, most people perceive information, news, or advertisements

including word of mouth via social media such as Facebook; thus, it is easier

to use social media as a tool to communicate with and advertise to both new

and existing customers. Then, homestay owners can get benefits from saving

costs and rapidly reach the travelers with larger groups.

2. Thai travelers tend to travel in a unique style, preferring to post their chic

photos on social media; this behavior matches with characteristics of cluster 5.

3. There are fewer competitors to compete in the market of cluster 5 leading to

being flexible to set the price. It means homestay owners can charge premium

price if they uniquely offer the high quality service and have beautiful places.

4. Most homestay owners conduct business as Small and Medium Enterprises

(SMEs); therefore, business owners should develop business from a small size

of the target market in order to offer the best service with utmost capacity.


37

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39

APPENDICES


40

APPENDIX A

IN-DEPTH INTERVIEW QUESTIONS

1. Are you Thai? (a screening question)

2. Have you ever visited a homestay in Thailand? (a screening question)

3. Why would you choose a homestay as your accommodation?

4. What are the key factors influencing your satisfaction toward the homestay?

5. For choosing a homestay accommodation, what is your traveling purpose?

6. Do you prefer to travel with friends, with family, to travel alone, or to travel

alone but to find new companions during your travel?

7. Are you concerned about your privacy when you would stay at a homestay?

8. How often do you choose a homestay as your accommodation when you

travel? How many homestay visits have you done?

9. How long would you stay at a homestay? The length of stay?

10. Which activities would you like to join?

11. What are the key factors influencing you to choose homestay, to revisit, or to

recommend to others such as friends or family?

12. From your key factors, could you rank them in order of importance? Which

one is the most important factor in your decision? And why?

13. What are your actual needs toward visiting a homestay? What are the areas

that homestay owners would need to improve upon? Do you have any other

suggestions?

Name __________________ Surname ___________________ Nickname _________

Gender ___________ Age ________ Level of education________________________

Household size ____ Household income per month _______ Occupation___________


41

APPENDIX B

THAI TRAVELER PERCEPTION QUESTIONNAIRE

Questionnaire for Thai traveler’s perspective toward choosing a homestay

accommodation in Thailand

The questionnaire aims to study the key factors influencing Thai travelers in

choosing a homestay accommodation in Thailand. Your participation is essential to

this study. All data will be collected in confidence and all respondents automatically

remain anonymous.

This survey questionnaire should take no longer than 10 minutes to complete.

It is conducted by a student in the Master of Science Program in Marketing

(International Program), Faculty of Commerce and Accountancy, Thammasat

University.

If you have any questions, please do not hesitate to contact the researcher with

the following email address: [email protected].

Definition of “a homestay accommodation”

“Homestay” for Thailand is defined as private residences of host families that

offer commercial hospitality to travelers or guests, including space or room, private

bed, breakfasts, and community lodges with a fee; additionally, guests also have an

opportunity to learn and experience the lifestyles of local people through cultural

exchanges and interactions between the host and visitors such as being in their daily

activities (Boonratana, 2010).


42

Section A: screening questions

1) Are you Thai?

[ ] Yes [ ] No (End of the questionnaire)

2) Have you ever visited a homestay accommodation in Thailand?

[ ] Yes [ ] No (End of the questionnaire)

Section B: behaviors and characteristics of Thai travelers toward choosing a


3) What are your traveling purposes when choosing a homestay as your

accommodation?

[ ] Relaxing [ ] Getting new experiences [ ] Finding new friends

[ ] Doing business [ ] Exchanging cultures [ ] others, please specify_

4) How often do you choose a homestay as your accommodation when traveling?

__________ time(s) per year

5) How long do you usually stay at a homestay accommodation?

__________ night(s) per visit

6) What activities would you like to join during visiting a homestay

accommodation?

[ ] Cooking [ ] Outdoor adventures and extreme sports

[ ] Handicraft [ ] Talking and sharing an experience with local people

[ ] Spa and massage [ ] others, please specify _____________________

Please rate the agreement of the following statements that match with your

characteristics the most.

Characteristics Strongly disagree ---------- Strongly agree

7) The adventure is my enjoyment of

traveling. 1 2 3 4 5

8) My happiness of traveling is to

experience natural scenery and fresh

air.

1 2 3 4 5


43

Characteristics Strongly disagree ---------- Strongly agree

9) I love outdoor activities such as scuba

diving, hiking, and roaming about the

forest.

1 2 3 4 5

10) I love to travel as a group such as with

friends or family. 1 2 3 4 5

11) I do not worry about privacy; for

example, I am comfortable having a

room close to other guests, or to share

kitchen space with other travelers.

1 2 3 4 5

12) I love to talk with many people. 1 2 3 4 5

13) I always post about my trip and share

photos on social media such as

Facebook and Instagram.

1 2 3 4 5

14) I visit a homestay accommodation

because I would like to be hipster and

cool. It is trendy in social media.

1 2 3 4 5

15) I choose to visit a homestay

accommodation because I have seen

many wonderful photos about

homestays on social media, which

persuades me to visit one.

1 2 3 4 5


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Section C: traveler’s perceived value toward choosing a homestay

accommodation

Please rate the importance of the following factors (attributes) in choosing a homestay

accommodation.

Attributes Unimportant -------------------- Important

16) Well cleaned 1 2 3 4 5

17) Providing a welcome drink, dinner, and

breakfast 1 2 3 4 5

18) Offering additional services such as a

local guide and a shuttle bus 1 2 3 4 5

19) Enjoying local activities such as

cooking and local sports 1 2 3 4 5

20) Learning and exchanging your culture

with local people 1 2 3 4 5

21) Getting new experiences from visiting

a homestay accommodation 1 2 3 4 5

22) Having a friendly host 1 2 3 4 5

23) Talking and sharing your story with the

host and local people 1 2 3 4 5

24) Getting assistance from the host when

needed 1 2 3 4 5

25) Providing facilities such as private

bathroom and bed 1 2 3 4 5

26) Being in a stable and safe structure or

establishment 1 2 3 4 5

27) A well-designed and decorated

establishment 1 2 3 4 5

28) Having many kinds of transportation to

the homestay accommodation or

getting there easily

1 2 3 4 5


45

Attributes Unimportant -------------------- Important

29) Located near natural and nice views 1 2 3 4 5

30) Having privacy such as the option to

not share space with other travelers 1 2 3 4 5

31) Have a cheap price 1 2 3 4 5

32) Be reasonably priced with your

perceived value 1 2 3 4 5

33) Having price discrimination between

Thai and foreign travelers such as

cheaper prices for Thai travelers

1 2 3 4 5

Section D: Satisfaction and intention to revisit and recommend the homestay to

others

34) What is your level of satisfaction toward visiting the homestay accommodation?

[ ] Highly satisfied

[ ] Satisfied

[ ] Neither satisfied nor dissatisfied

[ ] Dissatisfied

[ ] Highly dissatisfied

35) Do you plan to revisit a homestay accommodation?

[ ] Definitely revisit

[ ] Probably revisit

[ ] Neutral

[ ] Probably not revisit

[ ] Definitely not revisit

36) Will you recommend visiting a homestay accommodation to others?

[ ] Definitely recommend

[ ] Probably recommend

[ ] Neutral

[ ] Probably not recommend

[ ] Definitely not recommend


46

37) What are your actual needs toward visiting a homestay accommodation, or what

are the areas that homestay owners need to improve upon? Do you have any other

suggestions?

Suggestions:

__________________________________________________________

Section E: Demographic characteristics

38) What is your gender?

[ ] Male [ ] Female [ ] Other

39) What is your age?

[ ] Less than 15 years old [ ] 15-24 years old

[ ] 25-34 years old [ ] 35-44 years old

[ ] 45-59 years old [ ] 60 years old and over

40) What is the highest degree or level of education you have completed?

[ ] Less than high school [ ] High school graduate (includes equivalency)

[ ] Associate’s degree [ ] Bachelor’s degree

[ ] Master’s degree [ ] Doctorate’s degree and over

[ ] Others, please specify ________________________

41) What is your household size?

[ ] 1 person [ ] 2 persons

[ ] 3-5 persons [ ] more than 5 persons

42) What is your household income per month?

[ ] Below 26,000 Baht [ ] 26,000-52,999 Baht

[ ] 53,000-64,999 Baht [ ] 65,000-100,000 Baht

[ ] Above 100,000 Baht


47

43) What is your current occupation?

[ ] Student [ ] Corporate employee

[ ] Government officer [ ] State enterprise officer

[ ] Self-employed/Freelance [ ] Business owner

[ ] Unemployed [ ] Others, please specify_____________


48

APPENDIX C

PERCEIVED VALUE TOWARD CHOICE CRITERIA

Perceived value Attributes

Emotional value

Service

1. Well cleaned

2. Providing a welcome drink, dinner, and breakfast

3. Offering additional services such as a local guide and a shuttle bus

Experiential value

Activity and

cultural

exchanges

4. Enjoying local activities such as cooking and local sports

5. Learning and exchanging your culture with local people

6. Getting new experiences from visiting a homestay

accommodation

Host-guest

interaction

7. Having a friendly host

8. Talking and sharing your story with the host and local people

9. Getting assistance from the host when needed

Functional value

Establishment

10. Providing facilities such as private bathroom and bed

11. Being in a stable and safe structure or establishment

12. A well-designed and decorated establishment

Location

13. Having many kinds of transportation to the homestay

accommodation or getting there easily

14. Located near natural and nice views

15. Having privacy such as the option to not share space with other

travelers

Economic value

Price

16. Have a cheap price

17. Be reasonably priced with your perceived value

18. Having price discrimination between Thai and foreign travelers

such as cheaper prices for Thai travelers


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BIOGRAPHY

Name Miss Noppanat Sekorarith

Date of Birth July 4, 1988

Educational Attainment

2011: Bachelor of Arts in Economics

Thammasat University, Thailand

2012: Master of Science in Management

University of Southampton, United Kingdom

Work Position Full-time student

Publications

Sekorarith, N. (2012). Analysis of factors affecting public opposition against the

building of nuclear power plants in their area: A study of Ubonratchathani

province, Thailand (MSc Dissertation). Retrieved from University of Southampton.

(Faculty of Business & Law)

Work Experiences 2013-2015: Underwriter

Bangkok Insurance Public Company Limited

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